Update: April 28, 2020 ay 11:45 p.m. ET
StockX has responded to the Business Insider story via Twitter statement. In the social media post, the company stated “the health and safety of our team has always been and always will be our top priority.”
“In a situation where information was fluid and fast-evolving, we acted swiftly and decisively to safeguard the welfare of our team members,” the statement read. “And it’s because of these dedicated team members during this extraordinary time, that our global marketplace remains open, stable and strong.”
Several StockX authentication center employees have tested positive for the coronavirus, according to a report released today.
According to Business Insider, there were an estimated seven confirmed cases of COVID-19 within the company, however StockX did not confirm that number with the publication. StockX CEO Scott Cutler, according to the report, told employees on March 27 that a staffer at its Detroit authentication center had tested positive March 26 and a New Jersey employee had also tested positive.
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The report also stated that StockX did not close its Detroit authentication center after a stay-at-home order was issued March 23 by Michigan Gov. Gretchen Whitmer, effective March 24. Business Insider said StockX cofounder and COO Greg Schwartz emailed employees March 23 stating the center would remain open, explaining a similar order was in effect in New Jersey that did not impact its Moonachie authentication center. however, StockX reportedly informed employees via email March 25 that it decided to close Detroit after “further review.”
FN’s email request to StockX for comment were not returned by time of publication.
Cutler spoke with FN on April 10 and explained how COVID-19 has forced StockX to adjust its playbook for crisis management, which includes the implementation of greater safety protocols.
“Working from home and remotely will be a part of our work environment going forward no matter what. And in our distribution centers we will continue to have an intense focus on safety, in particular health, and be conscious about the impact of the spread of a virus or sickness can have on the business,” Cutler told FN. “I think a lot of the safety protocols that we put in place around how we work in distribution centers will forever change.”
This isn’t the first less than favorable headline that StockX has been plagued with in recent weeks amid the coronavirus crisis.
Late last week, StockX revealed it was forced to lay off employees. In a blog post, Cutler stated in order to “ensure long-term sustainability” it had to cut 12% of its workforce with the economic uncertainty that the coronavirus crisis has created.
And on April 15, StockX received social media backlash after revealing a new 3% processing fee to customers that will be added to the purchase price of an item. It went into effect April 22 and was added, according to an email sent to consumers, so StockX can continue to make investments into the platform, customer service and the verification process.